Starting an Online Cab Service in Kerala, Thrissur, India: Company Ideal Taxi

Business Development
Plan

Table of Contents
CHAPTER 1 INTRODUCTION.....................................................................................................1
Title.........................................................................................................................................1
Coherence/ Justification.........................................................................................................1
Rationale.................................................................................................................................1
Scenario Choose.....................................................................................................................1
Aim and objectives.................................................................................................................2
Background.............................................................................................................................2
Structure of Project.................................................................................................................2
CHAPTER 2 LITERATURE REVIEW..........................................................................................3
Industry Review......................................................................................................................3
Evaluation and review of industry size, growth rate, competitors.........................................3
Explanation to the business idea.............................................................................................4
Marketing Mix........................................................................................................................6
Segmentation..........................................................................................................................7
Target Market.........................................................................................................................8
Positioning..............................................................................................................................8
Knowledge and comprehension of industry...........................................................................9
Theories of the businesses model...........................................................................................9
Business model canvas.........................................................................................................10
Principle issues associated to topic.......................................................................................11
CHAPTER 3..................................................................................................................................12
RESEARCH METHODOLOGY...................................................................................................12
Selection of model................................................................................................................12
Selection of clear aims..........................................................................................................13
Selection of research methodology......................................................................................14
Research method knowledge................................................................................................14
Primary and secondary research...........................................................................................14
Feasibility.............................................................................................................................15
Critical evaluation of methodology......................................................................................15

Research limitation...............................................................................................................15

CHAPTER 1 INTRODUCTION
Title
To start a business of online cab service in Kerala, Thrissur, India: Company Ideal Taxi.
Coherence/ Justification
The cab services has become a trend across the world. All the individual opt to use cabs
for travelling as not each and every individual could afford to have cars. It is also suitable for
travellers who can enjoy their trip through the cabs. So, here business idea has been taken for
starting an online cabs service for Kerala, Thrissur and India. Through which they will be
rendering an online cab services to their consumer. The 15% of commission has been taken by
company from the drivers who are running the taxis and let their consumer through company's
online bookings for cabs. They vision of Ideal Taxi is to deliver fast and appropriate services at
minimum pricing to their consumer so that their consumer can be satisfied greatly.
Rationale
Cab services has become more popular among India as well. The more and more
individual are opting the cab services for travelling from one place to another. It attracts all age
group people to the great context it enhances their interest. Now each and every individual are
using online services through which they can use various services easily (Teece, 2018). This save
waiting time of an individual they can easily book cab for them from anywhere across India. The
Ideal Taxi render online services for cab to the consumer across India, Kerala and Thrussia. In
these country demand of cab service is high. The individuals who are working late at night needs
to travel a long lonely then it is the best services which can be opted by them. There are over
millions of individual who uses cab services for travelling across India.
Scenario Choose
India is the most populated country. As per the size and population of nation it has wide
scope for company to establish their new business. While comparing the Kerala, Thrussia and
India with other nation it is richer and had more opportunities as compare to other country. Each
and every individual are depended on cab services. There is much amount of population and
employment across the Kerala and Thrussia which enhances the demand of the cab services into
the Kerala. As individual need to use cab for late night shifts of office. As wide range of
population within in country raised demand of cab services within the state. In the present
scenario it has been identified that there are many companies which render cab services across
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the country. And they are successfully running their business in country (Chaffey, Hemphill and
Edmundson-Bird, 2019). It is very helpful in saving time of individual and rendering them quick
and safe cab services. And now individual are more used to towards online cab services. The
Ideal taxi will also be offering an online service of cab to their customers.
Aim and objectives
Aim-
To start a business of online cab service in Kerala, Thrissur, India: Company Ideal Taxi.
Objectives-
 To analyze current market of online cab services for Kerala, Thrissur, India.
 To identify the target market for company.
 To evaluate feasibility of online cab services in India.
Background
With the advancement of technology there are many business which have been emerging
and starting. So further it enables to render new technologies and ways for utilizing the
technologies into the business. Individual are becoming more busy in their daily routine and
spending more money on the luxurious lifestyles as per the trends. So that's trend of cab services
has been become more popular among individual who are prevailing to opt these services. It
saves their time, enjoy the best class services with the minimum charges. Many countries have
this type of services which is mostly used by every second people within the country. So more
and more individual are attracted to book the service of cab wherever they need and thus they
can travel lonely also without any risk. As they render great services to customers.
Structure of Project
The specific research structure would be followed in this project for making work and
researching more related and effective for organization to utilize the information effectively.
This structure will be useful for company and reader for getting appropriate understand on the
gathered data and information (White, 2016). In the starting stage it includes brief introduction to
the new business idea which is cab services through which they will be providing the online cab
service to their consumer. With the help literature review rationale of business to the company
has been explained. There are some research method taken by company for conducting the
research which helps them to analyze that this business idea is best for company or not if not
then what some other changes are to be implemented into the business as per the trend among the
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marketplace. Further through analysis result has been interpreted that contain potential findings
for the project.
CHAPTER 2 LITERATURE REVIEW
Industry Review
According to the Bansal and Rao, (2018) India is country where cab are majorly utilized
across urban areas. The industry in India had quite diverse and unique as compare to other
country. It is growing industry which is attracting many of the start-ups for joining with the huge
potential. This business can be segregated into pre-aggregator era and post-aggregator era. The
cab industry is classified in organized and unorganized business. The industry as whole is not so
formal till 2007, the most of the businesses are handled by particular car owners. Indian cab
market stood at $6.4 billion in 2016 and is to be forecasted for growing at CAGR of 13.7%
during the year of 2017-2022 for reaching $14.3 billion. Increasing demand for cab services in
India, Kerala and Thrissur has been associated with changing lifestyle of the travellers and rising
disposable income of the customers which is particularly in Tier-I and Tier-II cities. The
increasing trend of online cab render hassle free ride to the consumer with additional intangible
and tangible offering that are convenience for booking through phones and laptops, air
conditioning, skilled and educated driver, 24*7 service, various payment options, consumer
support, vehicles with attached GPS and electronic fare meter etc.,
Evaluation and review of industry size, growth rate, competitors
As per the Rawal and Sisodia, (2017) Some main competitors who are operating in India
are Uber India technology Private Limited, ANI Technologies Private Limited, Wings Travel
India Management Private Limited, Meru Cab Company Pvt. Ltd., Zoomcar India Private
Limited, Carzonrent (India) Pvt. Ltd, Saavari, AVIS, Voler Car Private Limited and Fast Track
Call Cab Private Limited. For performing the study, the cab research have been conducted
through primary as well as secondary method of research. The exhaustive list of various taxi
operator across India. Primary research surveys includes e-mail responses and primary call etc.,
with the above mentioned companies. While conducting an interview the respondents were asked
about the main competitors. With the help of this technique, the research would include several
companies that couldn't be identified as per the limitation of secondary research.
The market size will be calculated by utilizing bottom-up technique, in which volume
sales data of taxi operator for various type of vehicles such as Sedan, Hatchback, MUV/SUV and
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Premium/Luxury will be recorded and forecast for further years. The Cab market size of India is
estimated at 1.9 million cabs assumed for generating $10-$11 billion of revenue till 2019.
Unorganized small fleet account operator for 91% of market share in term of registered fleet for
taxi. Arrival of the on-demand taxi players into the industry helps to organize these market to
great extent. The user base of on-demand taxi in India in urban areas with income of >25,000
INR ($350) per month. They had gain growth in pool/share rides which let the Uber and Ola to
gain 78% of revenue from this budget ride segments.
Illustration 1: Market size
(Source: Cab Service in India, 2020)
Explanation to the business idea
As illustrated by Chalia, (2017) Starting the new business is very critical task as
individual has to care for several things for achieving success in marketplace and sustain for long
term. If it has been not done properly many difficulties could be faced by companies to manage
the business activities, in thus further entrepreneur will be facing loss. India is the growing
country which had great scope for cab service business idea. Individual and travellers of India
are opting cab services through their mobile phone and travelling across the desired destinations.
As the technologies are enhancing individual are moving towards adopting various source which
let them to save their time and enjoying additional services which are given by the cabs to their
customers. As the growing trend and increase in individual disposable income in urban cities
more and more individuals are using the cab services for travelling from one place to another.
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The cab service can be enjoyed by anyone at any place through mobile application of various cab
companies. And they also provide the tracking system through which an individual can easily
optimize in what duration their cab will arrive at the located place and how much amount they
had to pay for it.
Objective
Objective of Ideal taxi is to become the best performer in taxi industry and providing fast
services to the customers. It aims to gain 40% of revenue in upcoming two years.
Mission
Mission of Ideal Taxi is to offer fast and safe ride to their customer with minimum fare
rates.
Key to success
Ideal Taxi will focus on urban cities where more and more individual could serve cab
services rendered by company to their customers. Convenient access to the application will
another significant point of business as this would help Ideal Taxi for gaining attention of the
wide range of public. The services offer by organization will be unique as they will be providing
fare meter, air conditioner, GPS into the cars which can be utilized by consumers. In addition to
this, driver of the cab are skilled, well-educated, polite behave, quick services, minimum pricing
will be USB of company which are rendered to their customers and their needs & demands will
also be further taken cared while provisioning them cab services.
Company details and ownership
Ideal taxi will be new business where online cab services are given to the consumers
across the India, Kerala and Thrussia. They will be providing 24*7 cab services to the customers.
The drivers of cab are self-employed and thus company will be charging 155 of commission on
each and every booking. It will be sole trade company, there will be no partnership at the
primary level. The loss and profits all would be bearded by the owner of company.
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